Background:
The islands of Antigua and Barbuda became an independent state within the British Commonwealth of Nations in 1981. Some 3,000 refugees fleeing a volcanic eruption on nearby Montserrat have settled in Antigua and Barbuda since 1995.

Environment - current issues:
water management - a major concern because of limited natural fresh water resources - is further hampered by the clearing of trees to increase crop production, causing rainfall to run off quickly

Executive branch:chief of state:
Queen ELIZABETH II (since 6 February 1952), represented by Governor General James B. CARLISLE (since NA 1993)
head of government:
Prime Minister Lester Bryant BIRD (since 8 March 1994)
cabinet:
Council of Ministers appointed by the governor general on the advice of the prime minister
elections:
none; the monarch is hereditary; governor general chosen by the monarch on the advice of the prime minister; prime minister appointed by the governor general

Legislative branch:
bicameral Parliament consists of the Senate (17-member body appointed by the governor general) and the House of Representatives (17 seats; members are elected by proportional representation to serve five-year terms)
elections:
House of Representatives - last held 9 March 1999 (next to be held NA March 2004)
election results:
percent of vote by party - NA; seats by party - ALP 12, UPP 4, independent 1

Judicial branch:
Eastern Caribbean Supreme Court (based in Saint Lucia) (one judge of the Supreme Court is a resident of the islands and presides over the Court of Summary Jurisdiction)

Political parties and leaders:
Antigua Caribbean Liberation Movement or ACLM [leader NA]; Antigua Labor Party or ALP [Lester Bryant BIRD]; Barbuda People's Movement or BPM [leader NA]; Progressive Labor Movement or PLM [leader NA]; United National Democratic Party or UNDP [leader NA]; United Progressive Party or UPP [Baldwin SPENCER], a coalition of three opposition political parties - UNDP, ACLM, and PLM

Diplomatic representation from the US:
the US does not have an embassy in Antigua and Barbuda (embassy closed 30 June 1994); the US Ambassador to Barbados is accredited to Antigua and Barbuda

Flag description:
red, with an inverted isosceles triangle based on the top edge of the flag; the triangle contains three horizontal bands of black (top), light blue, and white, with a yellow rising sun in the black band

Economy - overview:
Tourism continues to be the dominant activity in the economy accounting directly or indirectly for more than half of GDP. In 1999 the budding offshore financial sector was seriously hurt by financial sanctions imposed by the US and UK as a result of the loosening of its money-laundering controls. The government has made efforts to comply with international demands in order to get the sanctions lifted. The dual island nation's agricultural production is mainly directed to the domestic market; the sector is constrained by the limited water supply and labor shortages that reflect the pull of higher wages in tourism and construction. Manufacturing comprises enclave-type assembly for export with major products being bedding, handicrafts, and electronic components. Prospects for economic growth in the medium term will continue to depend on income growth in the industrialized world, especially in the US, which accounts for about one-third of all tourist arrivals.